Pakistan's remittances hit record $4.1 billion in April

In Pakistan, the remittances from overseas Pakistanis reached a remarkable sum of $4.1 billion in April 2025. This surge was notably highlighted by the Governor of the State Bank of Pakistan, Jameel Ahmed, during an event at the Pakistan Stock Exchange. As a result of this unprecedented inflow, the government has adjusted its fiscal year 2025 remittance target from $35 billion to $38 billion. Such financial contributions from Pakistani expatriates have played an essential role in strengthening the national economy, showcasing their dedication and trust in the country’s financial future. Furthermore, figures provided by the State Bank indicate that during the July-March period, total remittances have increased by $7 billion compared to the previous year. In FY24, the total remittances were recorded at $30.25 billion, reflected in a significant year-on-year increase of 37.4%. Prime Minister Shehbaz Sharif has praised the overseas Pakistanis, recognizing them as a vital asset to the nation’s economy, and committed to assuring them the necessary support and facilities they require. Amid these developments, Jameel Ahmed projected that the economic growth for FY25 could reach approximately 3%, which surpasses the World Bank's estimate of 2.6%. The governor suggested that if agricultural output had been stable at the previous year’s level, the growth might have been as high as 4.2%. As confidence in the economy has notably improved, focus is now shifting towards achieving sustainable growth through productivity enhancements and increased exports. In light of the growth targets, foreign exchange reserves are also expected to rise, with a hopeful increase from $13 billion to $14 billion by the end of FY25. The governor emphasized the importance of timely reforms to address structural issues, mitigate economic fluctuations, and avoid stagnation. He underscored the significance of financial literacy as a foundation for an inclusive economy, and stressed ongoing efforts to enhance financial inclusion rates from 64% to 75% and decrease the gender gap in financial services by 2028.